Steel News - Published on Mon, 17 Dec 2018

The Philippine Star reported that HBIS Group Co Ltd is set to invest USD 4.4 billion to build an integrated steel complex in Mindanao. During the signing of the memorandum of understanding for the implementation of the project, Trade Secretary Ramon Lopez said the amount to be spent by HBIS would be the biggest industrial investment from China to the Philippines. The MOU was signed by HBIS chairman Mr Yu Yong, Huili Investment Fund Co Ltd chairman Mr Meng Xiaosu, Steel Asia Manufacturing Corp. chairman and chief executive officer Mr Bejamin Yao, Defense Secretary Mr Delfin Lorenzana, and Board of Investments managing head Mr Ceferino Rodolfo.

The project to be implemented by the parties, will occupy a 305-hectare land inside the PHIVIDEC Industrial estate in Mindanao. It will have facilities related to port operation, sintering, coking, pelletizing, iron-making, steel-making and steel rolling. Phase 1 of the project covers the production of 4.5 million tonnes of hot rolled coils and 600,000 tonnes of slabs with USD 3 billion worth of investments, while phase 2 involves increasing the steel manufacturing capacity to eight million metric tons.

Construction and ramp-up period of the project is expected to take three to five years.